Johnson & Johnson products, in Philadelphia

Matt Rourke/AP Photo, File

Johnson & Johnson posts strong revenue in 1Q

April 16, 2019 - 8:37 am
Categories: 

By Linda A. Johnson, AP Medical Writer

Lower sales overseas and higher costs for research and litigation pushed Johnson & Johnson's first-quarter profit down 14%, but the health care giant still beat profit and revenue expectations.

The maker of Tylenol and psoriasis drug Stelara on Tuesday said unfavorable currency exchange rates reduced revenue by nearly 4%, leaving total sales flat at $20.03 billion, though that edged out analysts' muted projections.

Related:

Sales of prescription medicines were the bright spot as usual, rising 4% and accounting for over half of the New Brunswick, New Jersey, company's total revenue.

The world's biggest maker of health care products posted net income of $3.75 billion, or $1.39 per share, down from $4.37 billion, or $1.60 per share, a year earlier.

Earnings, adjusted for litigation costs and research and development expenses, was $5.66 billion, or $2.10 per share, 7 cents better that Wall Street expected, according to a survey by Zacks Investment Research.

Revenue was $20.02 billion, with $10.24 billion of that coming from its prescription drugs. Sales were led by Stelara, which saw a 32.4% jump to $1.41 billion. Higher sales of cancer drugs Imbruvica and Darzalex, HIV drug Prezista and schizophrenia treatment Invega Sustenna also lifted the results and helped offset lower sales of blockbuster immune treatment Remicade and blood thinner Xarelto.

Sales of consumer health products dipped 2.4% to $3.32 billion and medical device sales fell 4.6% to $6.46 billion.

The company reaffirmed its January forecast for 2019 sales totaling $80.4 billion to $81.2 billion, but raised the low end of its earnings-per-share forecast 3 cents, giving a new range of $8.53 to $8.63 for the full year.

_____

Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research.

© Copyright 2019 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.